A time capsule of the greatest financial mania in the history of mankind, told in real-time by regular folks and patriots. May future generations better understand the madness of crowds, and how power and money corrupt.

July 12, 2007

31 comments:

Anonymous
said...

Sure, I do. All the people who bought condo units at Blue Condominium in Miami, as you posted previously. Oh boy, it's going to be soooo ugly that it's not even funny anymore.

OT. One of the main cities/ski resort in Argentina, called Bariloche, has been 48 hours in the dark, under freezing temperatures, because the main dam that supplies energy is practically empty. Buenos Aires is not far behind with lack of natural gas which runs on 95% of the vehicles in the city. And people here still think that Global Warming and Peak Oil are a myth...pleazzzzz! Here we have the first signs: empty dams because of lack of rain, not enough natural gas to keep industry and vehicles moving. And this is just the beginning. Nothing to see here, folks, keep watching Hannity and Faux News.

when oil runs out it will cost more and we can ride scooters around like they do in china. no biggie.

the days of driving a 12 passenger SUV 100 miles a day all by yourself on the freeway next to a million people doing the same will seem like a dream! Its nuts think about it!!! it cant last forever thats for sure.

Yes, unfortunately anyone holding or with their assets in U.S. dollars. The greenback is poised to fall through 80 on the index. When that comes, it's freefall because all of the historic technicals will have been breeched.

Yep. Vegas-based "flipper" 26 year-old blackjack dealer bought 3 houses and at one point had 1.5 million is mortgage despite an income of $60K/year. Foreclosures and BANKRUPTCY have followed. Although, not before he was begging everyone he knew for cash loans.

Unfortunately, a good friend of mine. Him and his wife just bought a house in a SoCAl burb for 575k. Granted, that house would have been 650k just a few months ago, but still ridiculous. To make matters worse, they financed with a 3/1 I/O ARM. Oh man. Good thing she makes a lot of money. They'll need it when rates are running 10% in 3 years.

My neighbor down the road from me (I live in the country in midwest US) is a serious bagholder but doesn't know it yet.

This guy, who's mostly been bankrolled in the past by daddy, bought a canoe rental business along the river here. Price: $850K. Former owner took a note after a substantial down payment. New FB owner has to come up with a yearly payment of $50,000 for the next 15 years.

Here's the fun part: the canoe season here is only about 3 months long, so he has to make all his money in those 90 days. The rest of the year the place sits deserted. And the canoe business here has been on the decline for years. To make this "investment" even more ludicrous, he has to shuttle his customers 35 miles upriver in old gas guzzling school buses to the starting point. Got $5 gas yet?

My prediction: former owner will get the place back in a couple years.

"All this during the week when the MSM and Al Gore is telling us the world is heating up.

And the global warming skeptics are the crazy ones right?"

Dude, please try to educate yourself before you make any more utterly moronic quips- they only highlight your complete ignorance.

You see, global warming does not only raise the average global temperature, but also causes changes in weather patterns, oceanic currents, etc. Accordingly, weather related events, e.g., rain, snow, hurricanes, and even lack thereof are affected and more intense.

All my newest non-renting neighbors here in NOVA, a few of my friends in Fla have a 200-300K TH and about 100.00 in their joint bank account. Another in Fla took a loss (well, at lest not enough to cover the HELOC) when they sold home last year, at least they knew when to cut and run.

LauraVella said: I know so many people that bought homes and second homes within the last 4 years-all will be hurting and some will be totally upside down.

The one person that comes to mind is my husbands ex-boss who embezzled monies from her employer (she was the manager/bookkeeper)for 6 years and is now facing felony charges-56 counts for credit card fraud for one lawsuit, and I dont know how many more counts for a civil lawsuit slapped on her by her ex-employer.

Thats what happens when you steal money to buying a 4,000 sq. foot 1.2million dollar house on a steep hill with an I/O loan, which is going to drag her and her husband down the fiancial drain for good, plus jail time for her.

I know a few,used to be close with one of them.Sucks.I don't have a thing against the guy either,GOOD KID for sure.I wanna talk some financial sense into him ,but since I'm not the Banker,Broker,or the Cops,my suggestions mean little. It's natural I guess. Thing is,this all started when the POS BROKERS,REALWHORES,and DOOFUS BUDDIES of his started telling him to get on the R/E train to easy street.By now he should be questioning everything they say,I Hope.But it's almost too late. He does have options,just like all FB's.Learn to fight these crooked POS's,and they will deal with you on your terms. At the moment one option is to ask for a review of the contract to insure equity.Then dispute the motives of any notice of deficiency.If a bank ,or such causes harm to itself, investors or borrwers,by altering,adjusting,or even by doing nothing when a borrower is in trouble they are obligating the contract,and not allowing a successful performance of the borrower. FBs should file a lien on their homes if the lender initiates any action.Although the lien is inferior,the home becomes unsellable until the bank takes the borrower thru DUE Process.Then the bank puts itself on trial,and disclosure becomes the soup of the day.Add to that the losses that mount up while they try to fight the borrowers,and the bank will be looking for quicker remedies.Avoiding disclosure is the utmost priority to any financial institution,because the contracts are all(ALL)invalid for a number of reasons. This becomes a win win for the borrower,and a break even for the bank.This isn't as simple as I say,but very doable,and one needs the proffessional help of a CPA,not a lawyer. I know this is TIN HAT,but the case law abounds in this area,and it is FASCINATING to read.